disney's not making money off of espn and obviously espn is very lucrative.dy who's connected with disney is doing fabulously. it makes me come back to the brands of disney which when the smoke clears the brands of disney will be worth a lot. and will go back to the parks because of the new rides. you keep revisiting and shanghai 10 million viewers. at a -- >> visitors. >> yes. visitors. >> in the next few days. 10 million. >> it's movie slate, we all go. so there will come a time it's not yet that we will be focused on the espn going down a little. but maybe we won't be focused on the other ways we pay to get espn. and maybe they did get the costs down because of some of the personnel changes. but all i'm saying is that when i come back and listen to the conference calls, anything disney -- you want to affiliate with disney so badly. keep that in mind. that's an aspect when it goes down three -- >> iger did point out the 100 people who were dismissed at espn got a lot of attention and they have 8,000 employees to put it in some perspective. >> they have the

>> i love everybody's talking about espn, espn, that's driving the conversation towards that disasterg, but, frankly, this is one of the best companies to produce content that there ever was. they reinvent themselves and fairy tales for every generation. you have to own the stock, and fireworks are soming again. >> in december? >> december. >> all right. danny, rob, thank you for joining us. quick break. when we come back, talking to bob iger, shares lower after their results. he joins us on cnbc to talk about the quarter, the plans of espn, cord cutting, summer box office season and busy day for fed speak, busier, dow president set to make comments, headlines coming up. you're watching cnbc, first in business worldwide. ness worldwi. ness worldwi. welcome to holiday inn! ♪ ♪ whether for big meetings or little getaways, there are always smiles ahead at holiday inn. >>> welcome back. disney just reported earnings, shares dipping a percent right now. straight out to julia who is sitting down with disney's ceo, bob iger, on a first on cnbc interview. jim ya? >> thanks, kelly. bob, thank

again operating income due to that he decrease in espn, they're blaming espn, partially offset by increases at the disney channels. disney channel doing okay, that is the kids network. espn still a problem child for walt disney. there is the stock in the after-hours. as you can see falling again, a revenue miss, digging into the numbers, guys. come back in a few moments with a little bit more. melissa: thank you so much. bring in the media journalist john freeman. kevin mccarthy, we have gary kaltbaum with us as well. john, the blockbusters at disney, "beauty and the beast" grossing a billion dollars. "star wars: the last jedi." we can't get enough "star wars" everything in my house. we see the movie. bought it on pay-per-view. got it on itunes. got leg goes. i feel i should own the company with what i have spent. am i helping the company? >> you are definitely helping the company. doing bert because it has more recognition. these are great brand, fantastic franchises. public loves them, young people love them which is the key. disney wants to attract young people at all costs. >> kevin, le

people love espn, a lot of people still do. of people still hate espn because of pushing politics pretty why are they doing that? >> i think you've asked the right question. i think court cutting has a lot to do with their subscriber and viewership loss, but the animosity and some of the viewership loss, i do think as a direct result of their lurch to the left and injecting progressive at the mullah g into the sports conversation. if you really understand sports culture and all the values taught in sports from little league peewee on, you're never a victim. there's never any excuses that are accepted. every coach teaches every player from five years old onto 45 years old, we don't tolerate excuses, we don't tolerate it. now so much of the conversation by the sports media, espn the angler of this is just filled with victims. : keep her next victim, everybody's a victim if turning traditional sports fans off. >> tucker: it doesn't take a sports expert to predict something like that. people go to sports as a refuge from things lik

they took away 100 jobs from espn.eal issue is programming rights and those are long-term contracts, not much you can do. joe: sarah, what do you want to hear on the call from disney? what are the big questions? sarah: what they want to do with espn. we have known they have had these issues and they are looking at the direct to consumer option, but i think investors more and more with the mna speculation and investors out there not afraid of going out, disney has fallen off of their pedestal lately, so i think people want to know if it is not fixable is there a way to monetize it. is it easier to break of the company? i think these are things that might have been unheard of a couple years ago but now it comes into the regular story because of the issues they are having. julia: i wonder about the theme parks. it is interesting. we have the chinese theme park as well. this was weaker than expected. paul: investors feel good about the theme park business, because it is not best -- not just the data coming out. we have see

let's talk about espn. basically what i heard him say is it is a business, a channel that is in transition, but that eventually they expect the revenue to even out. >> we would agree with that. espn has been for the last couple of years the biggest challenge for disney and across the whole media space, what's happening in cable and how consumers are finding their favorite programs, how they're consuming more on mobile devices. that's certainly changing the whole landscape for all these companies. so that's a challenge near term. we think it's potentially creating an opportunity longer term for disney because we don't think they have some of the best content out there, whether it's espn sports, disney family channel. that will drive their ability to transition what we think is going to be a new environment for media going forward. >> give me your thoughts, robin, on how the "beauty and the beast" remake did, and "rogue one," and whether or not it met the expectations that you had for that side of the busines

once again espn being the culprit. this was the first growth rate on the top and bottom line that they posted in the last two quarters. if you have been tracking revisions activity you probably could have called this revenue miss. we had seen significant downgrades from analysts on revenues, which foreshadows a miss, and therefore a negative return on the stock, which we saw in the afterhou hours. historically, no matter what disney reports, the stock does fall 1% in the through earnings period and then pops about 2% in the 30 days after. i don't think anyone was expecting great news out of espn, just as everyone was expecting studio and parks and resorts to be the strength as they have been the last couple of years. that's been the way the investors had to reassess disney it used to be espn was the predictable machine, you didn't have to worry about it. it's been the reverse. you have a predictable film release slate. the box office has been good. now the challenge for analyst and investors is to figure out the pace o

we will look closely, investors will be, at espn.the loss of subscribers. to explain whether they should be, we have paul sweeney. take me into the espn story because they have lost something north of 10% over some years now. is that trailing off? is it losing subscribers at that rate will be learned something today? paul: i think we will learn more today. declines look like the are continuing. discovery communications reported this morning and they talked about losing subscribers across the portfolio. cord cutting is real. it is impacting all the cable network ecosystems, including the giant espn. espn arguably has the most to lose because they get paid over six dollars per subscriber, per most for any the cable network. when they lose subscribers, 1% to 2% you, that hits the top line and that is the issue. david: where are those people going? netflix? amazon? paul: they have lots of choices they did not have five years ago, so they are going maybe to the internet, completely free, youtube, or some of these skinny bundles, whether s

investors will be watching for the health of its cable business, particularly espn.ere is a preview with paul sweeney, director of north american research for bloomberg intelligence. we were just talking about how espn was doing great for -- until two years ago and suddenly it just dropped off a cliff and culminated in the most recent layoff. paul: the court cutting in the marketplace for the past several years is real. investors are seeing it. all cable networks are experiencing it and it really years ago asore 12 espn was losing subscribers. so if there were any doubts, espn put those the rest that court cutting is a concern. time, espn continues to lose subscribers, as do most other cable networks out there as people cut the cord or maybe downgrade to skinnier bundles. it is a challenge facing all of the cable networks. espn is most at risk in the sense that they get the most money from the big paid bundle, seven dollars purchase scriber -- per subscriber per month. vonnie: we were looking at espn and subscriber growth but let's have a look at disney's sales growt

iger onsney ceo bob espn. kicking things off. alexandra?is chart poses a simple question, are there too many buyers in europe? percentage of stocks is hundred near a record high and we reached a record last year and about 40% and you can see that in blue and in white the firm's trading as oversold and how few there are, why is it important? analysis, a pullback from these levels could signal a decline. vonnie: this is something that alice rivlin was just speaking golf, -- speaking of. look at how inflation expectations in terms of wages have affected us stocks. the stock were in look like workers made needed a raise to continue in their jobs, they are outperforming those where there may not be so much wage inflation. it is an important chart and you can go back. mark: both excellent chart. both delivered under 30 seconds. it is a tie. it is a tie. well done, vonnie and aleksandra. this is bloomberg. ♪ >> it is noon in new york, welcome to bloomberg markets. ♪ vonnie: of the world headquarters in new york, the top stories we are following. p

be in a direct-to-consumer business for espn product.launch one on our platform before the end of this year. we are increasing engagement with our app significantly. with that comes not only more brand affinity but more advertising, and we're running the business more efficiently. so we actually are confident in espn's future. >> let's bring in ben swinbern from morgan stanley who has a rating on disney and $130 price target. thank you, ben, for joining us. the interesting thing about your these ills is the extent to which you think espn is at a positive turning point here. why do you say that? where do you see it happening? >> hi, kelly. thanks for having me. look, i think what you may be seeing in the march and june quarter for disney is the low point for espn growth as we start to see real acceleration in the back half of the calendar year and into '18. the reason i say that is the june quarter is going to be the highest year over year growth in cost for the business because of the nba contract they sign a few years ago. after the jun

so we're confident in espn's future. >> iger addressed the high-profile layoffs at espn. he said he wouldn't call them major layoffs because it was a few hundred people out of a few thousand. >>> when we return, u.s. equity futures at this hour, they are down. the dow looking like it would open off 48 points. 49 points now. s&p 500 looking to open down as well. nasdaq off just about a half important. a full rundown of the movers after the break. and a programming note, an exclusive interview with former treasury second stair jack lew he will be with us at 8:30 a.m. eastern time to talk about everything going on in washington and more. dear predictable, there's no other way to say this. it's over. i've found a permanent escape from monotony. together, we are perfectly balanced, our senses awake, our hearts racing as one. i know this is sudden, but they say: if you love something... set it free. see you around, giulia ♪ if you want to stay on top of your health, one simple thing to do -- is take the pledge to go and get screened for the cancers that might affect you. so sta

espn, i worked at espn two different times. i worked in the early 2,000s.ronment. after the deadspin, progressive bullying, it became a culture less, risk adverse. you can't, been, we're talking about cord-cutting, and the overpaying for sports rights. cord-cutting was not some surprise. this is not some technology that came out of anywhere. leadership is supposed to be ahead of technology and adjusting. but when you're so distracted by politics, and you take your eye off of business, that is how mistakes get made. charles: so is this a situation though where it actually seeped into the on-air reporting, and did it embolden progressives at the station feel like they had the right or even responsibility to air their views intermingling the scores? >> well, again, when you get distracted by politics, in this case, espn, it's progressive politics, the network lost track of who its core audience is. again, sports culture in a non-political way is very conservative, very conservative. the values taught in sports i grew up a college football player. i grew up an

>> that was barack obama last year when he was still president at a town hall event on espn. espn.annel. what was the president doing talking about politics like that on espn? well, the subject of our most important number of the day today, which is 90 million. 90 million as in that's the number of people right now, most recent estimate at least, 90 million espn subscriber, people who get it through their cable package. the it's down from a few years ago. part of an industry trend. we don't like them in the business, but it's a real thing and what does it have to do with sports and politics? it has to do with this. if you're espn, people don't need the old highlight shows as much. you get them on your phone, anywhere now. so what do they do with all that air time? they're been talking more and more about politics and events like that and a lot of republicans are looking at this. by the way, espn had to do a bunch of layoffs because of that declining number. a lot of republicans are saying that the politics are too liberal and the it's hurting espn. it's not clear politics had anyth

we see the upside on espn's saying espn's distribution growth rate can double from fiscal 2016 levelsut fiscal 2020. turning from an overhang to an overstriver. some analyst are still concern. security raised its film smoits dow to "beauty and the beast" but raise t the -- i'll be over at disney and report those earnings after the bell and we'll have the sit down with bob iger for the bref. tyler over to you. >> julia thank you very much. >> what do nerts wants to hear from disney? cole smeed is a disney shareholder with capital manager, roughly 4% of his portfolio. doug let me start with you, what would you like to see out of the numbers? are you embrace ring for anything or anticipating something good? >> we heard from most of disney's peers i think we have a good idea what we're going to see on the network side. the revenues will probably be more soft and have -- on the subside. buoyty and the beast was a massive run away hit from them, one of a string of hits that continue to be good. i don't think it's what they say about the core that just finished but what the forward outlook i

the whole espn story is a story of unbundling.s long as i had , espn- to buy 27 channels was included and can generate the highest price. all of a sudden, they are unbundling it in finding out a whole bunch people want to us the history channel but couldn't care less about espn let alone pay premium to have it. there at the same time, is deep engagement with some of these brands. whether it is see as pn, there is deep engagement. there must the some way. sam: you started this conversation by talking about the cost of content. you keep raising the cost of content, it is no different than if i keep raising the rent on my billing. the rent, mysing people are going to go across the street at some point. i happen to own a very small piece of roast board teams. it means my grandchildren get goodies and i get tickets. that is fine. the numbers are crazy. professional sports people are being paid off the charts. this chairman used to say when it comes to sports, the money goes to talent. it is not going to the network at the end. up next,

they have been making layoffs at espn.lyst mentioned the point that they have laid off 100 people -- the best paid employees, apparently, but if you compare that to the cost of 17 games a year with the nfl, are they paying too much for sports rights? is that a question they're going to be asked, and are they asking it of themselves? paul: absolute or did is a tough model for espn -- they have fixed costs with long-term rates deals and they have deals with just about everybody. they have very set, long-term fixed financial obligations, but revenue is under pressure because subscribers are declining. it is having a negative impact on margins. that was a cause for them to take down there long-term growth outlook. it is a challenge. julia: just reiterating the importance of looking at the ad spend. scarlet: paul sweeney will be back with us when disney reports earnings had 4:15 p.m. eastern time. disney ceo bob iger will join bloomberg technology later today to discuss earnings coming up in the 5:00 p.m. lower on bloomberg tel

no one has more of it than espn.pening is exactly what we thought would happen, and that is that there is a decrease in the number of expanded basic subs on traditional platforms. that happen for a few reasons. the expanded basic product is more expensive than some of the products that have launched on the new platforms, and has more channels than many people believe they need. it still dominates the business. but it is definitely decreasing. we are starting to see share shift from that, from that, the large bundle, at a price that is typically in excess of $100, the smaller bundles launching on mostly new platforms, over-the-top digital only platforms. in some cases, platforms that are mobile friendly and user-friendly. that has attracted younger people not just because of the cost, but the usability. that bodes well for us. we are seeing nice growth. but other brands are launching as well. youtube launched there is a rs a month ago and hulu just launched theirs last week. it is tough to say, but we are encouraged b

espn is not part of that right now. they have to become part of that dialogue, which is why you are seeing them hire some young correspondents who are very active on social media. they will also do a direct to consumer play. that will be the real highlight for espn. let's say they lose one or two percent of their subscriber base. if they can start gaining a couple hundred thousand people a quarter subscribing to espn to get a unique package of archival footage and millennial content that has more edginess to it in a way mtv had edginess to us. what if espn has a direct to consumer product with 300, 400, 500 million customers, they are watching their patterns. this could be a very hard transition or it could be very profitable. i am excited about hulu's live tv product. once you use these $35 unbundled services, a small, skinny package, you are going to get rid of your cable subscription and you are going to move to it, because it is more effective for your family, specially if you have kids, to just have an account onli

i know they talk about espn. the reality is, the businesses that do well for espn, those costs continue to go higher and higher, so that's where they're making their money on the ad spend, but the content costs continue to go up. sort of in a little of a pick him with espn. i think they're trying to clean that up to make an acquisition. >> i agree. what about the other way around, do you think who is the largest shareholder? lorraine powell jobs, fourth largest, when you think of apple, 800 billion, repatriateing at some point close to $200 billion. they have a lot of debt. you think about where they lack in services, it is contact. >> so far away from the history of disney and their acquisitions, right? the biggest one we saw up until this point? smr in the history of apple? >> yes, right to go off into a tangential business like that, if i were an apple shareholder, that would give me some concern. there is a huge level of risk. >> you don't think jobs is a part of the picture? >> i don't know. >> do they have

know about the troubles at espn and the layoffs. longer the espn company and our people excited about the film and other things that scarlet talked about? by espn still driven and they have to fix it and stem some of the erosion in the subscribers. writeave to bring it to to the consumer and they do not have a solution yet. antsy andare getting disney is a diversified company and you think about the parks and the resorts and both of the businesses are doing extremely well with consistent profit generators and most other companies do not have that diversification. isthe advertising side wrong. -- is strong. have richf companies brands and are try to figure out how to make money in the digital world. it is not just about the 32nd -- 30-second spot. it is about skinny bundles and hulu. you have to figure out a way to reach the consumers who were cutting the cord from the traditional pay television packages. where are they going? that is what everyone is trying to figure out. at -- ey has eps crown jewel and the prospects no longer as r

that exposed espn business model in some respects.n expressed especially given how important it is for disney as a whole. they have taken a number of steps to try to mitigate that. stuart: what do you think about idea some of this cord cutting, moving away from espn has to do with political influence of some anchors on air? is politics getting in the way at espn? what is your opinion on that? >> you know i was listening to the that opinion just before we came on, that is interesting thesis to try to make some type of political connection but having covered the company for almost 20 years now myself you know i think -- i would tend to think what we're seeing more has to do with the shifts in the landscape, structural changes that are going on with media consumption and audience fragmentation as as opposed to any midcall influences there. -- political influences there. leadership in the company, bob iger, has been fairly stable and clear in terms of the overall strategy, which by the way has been consistent 20 years i followed the compa

they have this band -- espn is getting new life through this band tech which will be streaming espn,ajor leak baseball. it's disney, why do they need to buy netflix? >> they won't be as profitable as traditional cable customers. >> obviously, they can compete wherever they want to. they're not waving the white flag and saying over the top el i think they made over the top investments. meanwhile, you are investing in consumer product and investing in parts. >> do you want to respond? >> i understand, the valuation to buy netflix can give or take a $90 billion deal t. likelihood seems to diminish. netflix continues to go higher. in terms of content the land grab. quite successfully, by the way. they may make sense on that metric. i do think if anybody is going to be the behemoth of a company, it's a guy like reed hastings. >> they are used to behemoth. >> what he's saying. >> covfefe. >> trades. >> when i look at it, i will be looking for the platform out there, the most under sawed. we need it, twitter. the twitter machine they're starting to get is remember. >> oh, covfefe. >> i'm sa

espn still problematic.ey overall. >> disney is one of those very got a couple things that went really well this forward. the biggest question is a cash cow of espn let apple do. the subscriber drops are what people are worried about. the whole cutting court question and able to charge that i was charging all the costs are going up because they had an mba renewal. i think you've got a couple factors going on. for disney that still is a question. the tv ad sales was a little bit lighter than people were looking for. those are the areas you had consistent cash flows for the other areas can be more up-and-down. lauren: what does disney do with espn exactly? other customers who don't pay the cable bill? >> they're looking for different knowledge so they don't lose the revenue assumes the cable subscriber. it's harder to charge as much for individuals as it is cable companies to carry the content. when people get comfortable that is either leveling out or has gotten to a point, it makes things -- you've got that

chris is beloved by all of his espn colleagues and for good reason. a huge heart and given so much to so many over the years. we know how much his family means to him and all we can do in a moment like this is give him the love and support at this hour. our thoughts and prayers are with chris, meredith, doug and the entire berman family. >>> happening today, president donald trump will welcome the russian frm foreign minister. . >> set for the ovl office of the white house beginning at 7:30 our time. the big topic is the russian plan to stabilize syria after six years of civil war. >>> shock waves are still rumbling washington, d.c. after president donald trump abruptly fired fbi director james comey. and alley has more on what's next and the reason the president is giving for the firing. >> months ago, praised fbi director james comey for his guts in pursuing the allegations against hillary clinton. and now citing his handling of the investigation as the reason for firing him. and the top official in into leading the official investigation into the r

morgan stanley now sees upside in espn and inclusion in new bundles saying espn could do a 180 sayinghe distribution revenue growth rate could nearly double from fiscal year 2016 levels to fiscal year 2020. some analysts are still concerned. just yesterday securities rated film estimates due to dooney & bourke but lowered estimates given weak network ratings. revenue of $13.4 billion in earnings per share of $1.41. both up about 3 1/2% from the year ago period. i will be back with disney's after the closing bell and we will have a first interview with disney ceo bob iger. back to you. >> have to ask him if he's thinking of running for president, julia. >> reporter: of course. >> thank you. julia boorstin. want to check in on the markets here because the s&p and nasdaq hitting record highs. doesn't take much these days, fractional moves, but record territory. all are positive. the dow lost an earlory 30 point rally or so, up 6 points. apple still the biggest contributor to the dow's rise. mean tike the so called fear gauge on wall street falling to its lowest level in more than a decad

the pessimism about espn is highly exaggerated.> the strategy we announced at the end ola year is the right thg do. >> i must say that we are optimistic. juliette: it is all straight ahead on "bloomberg best." hello, and welcome. i am juliette saly. this is "bloomberg best." your weekly review of the most important analysis from bloomberg television around the world. to global politics dominated a big part of the week. starting with france's election -- presidential vote on sunday. >> the polls are now closed in france. so, it looks like we have a macron win. the pollsters are not filling it out. we think of it is likely a 65% vote or somewhere around that number for mr. macron. >> i am watching these amazing scenes. i am watching european flags being waived. how long will be before i can buy a eurobond? >> if it is up to emmanuel it is one of the cornerstones of his program. it is to give europe its own budget. it is a step in the right direction for europe. definitely. make emmanuelle -- emmanu macron in the second round of votin

let's look at what is happening in terms of espn subscribers over the past few years.how you that for the past three years exactly, subscriptions have been falling. right now they stand at 90 million subscribers. ever since 2013 when they were at the 99 million mark, that led to the knock on the top line revenue. the revenue missed by about $200 million, $13.3 billion, the estimate was for $13.5 billion. iger, the head of disney, he had to put on a brave face, saying espn is still the powerhouse it once was. take a listen. >> we are feeling very optimistic about it. the reaction says otherwise, but that is not the case with us. we have taken a number of steps to contend with exactly what we are seeing. it is something we have been working on for a few years. it is high time people start looking at espn in a very positive way, and not a negative way. think about how mobile devices are being used and what for. ramy: take a look at how important media networks are to disney's bottom line in this pie chart. 43% is the revenue that comes off of the media networks. it is cle

the pessimism about espn is highly exaggerated.> the strategies we announced at the end of last year is the right thing to do. >> i must say, we are optimistic. >> it is all straight ahead on "bloomberg best." ♪ juliettth is "bloomberg : best." global politics dominated the early part of this week, starting with france's presidential push onuny. >> the polls are now closed in france. it looks like we have a macron win. we think it points to victory becauseweoubt think it is likely a 65% vote for mr. macron. we will see the number confirmed as we work through the night. flagsm watching european make way. how long will it be before i can buy eurobond? >> it is one of the cornerston of the program is to give europe its own budget. it is definitely not for tomorrow, but it is a step in the right direction. >> emmanuel macron has pledged the united kingdom's victory over marine le pen. >> i would like to say a few words for those who vote for madame le pen. do not boo them. after all, they vexpressed their anger, disarray, and their bel

i think it's not just espn. all cable networks face the problem services like netflix and amazon provided to consumers where they're willing to offer you content for a very low price. and they're able to do that because they're willing to accept much lower margins than the average cable network makes right now. i think all cable networks will face downward pressure for the next many years. i think espn will be one of those networks. there probably isn't a lot they can do about it. >> we have to go but how many percent of their subscribers have they lost the last five years or three years? >> they're in the low double digits. >> how much have subscriber fees gone up. >> 7% a year on average. >> over four or five years their fees have gone up more than their subscriber losses? >> yes. you have to keep into account the cost of their sports content is going up at a good rate. they're not quite keeping up with that. >> thank you. $95 price target on shares of disney. >>> all right. we are minutes away from the first

. >>> wife of long time espn broadcaster chris berman has died. police say 67-year-old kathy berman was one of two people killed in a crash in woodbury, connecticut. according to police, her career ended another vehicle, veered off the road and landed in some water. espn president john skipper gave his condolences saying this is a devastati devastating tragedy and difficult to comprehend. our thoughts and prayers are with chris, meredith, doug and the entire family. chris and kathy berman were married for over 33 years. >>> violent clashes and demands for new elections in venezuela showing no signs of letting up. protesters in caracas faced off against the country's national guard on wednesday. troops fired water cannons and teargas as demonstrators used shields to protect themselves. one man was killed bringing the death toll to 39 since the clashes began six weeks ago. more than 1300 people have been arrested so far. according to the associated press, over 250 civilian detainees have been brought before military courts rather than civilian ones,

the pessimism about espn is highly exaggerated. >> the strategy we announced at the end of last year is the right thing to do. >> i must say, we are optimistic. >> it is all straight ahead on "bloomberg best." ♪ juliette: hello and welcome. i am juliette saly. this is "bloomberg best." your weekly review from bloomberg television around the world. global politics dominated the early part of this week, starting with france's presidential vote on sunday. >> the polls are now closed in france. it looks like we have a macron win. we think it points to victory because the posters are [indiscernible] we think it is likely a 65% vote for mr. macron. we will see that number confirmed as we work through the night. i am watching amazing scenes at the louvre and watching european flags being waived. how long will it be before i can buy a eurobond? >> if it is up to emmanuel macron [indiscernible] it is one of the cornerstones of its program is to give europe its own budget. it is definitely not for tomorrow, but it is a step in the right dire

will movie magic prevail over the some of the problems at espn.tting, what you need to know ahead of disney's second quarter report coming out after the bell. details what to expect here on "countdown." when they thought they should westart saving for retirement.le then we asked some older people when they actually did start saving. this gap between when we should start saving and when we actually do is one of the reasons why too many of us aren't prepared for retirement. just start as early as you can. it's going to pay off in the future. if we all start saving a little more today, we'll all be better prepared tomorrow. prudential. bring your challenges. >> breaking news. commerce secretary wilbur ross made a speech and we received some headlines. he said 3% economic growth certainly not achievable this year. we assumed, but certainly not achievable this year. that is the quote from the secretary. it will require president trump's tax, regulatory trade and energy reforms in place for several months. they would have to be in place several month be

the pessimism about espn is highly exaggerated. >> the strategy we announced at the end of last year was the right thing to do. >> i must say that we are optimistic. >> it is all straight ahead on bloomberg best. >> welcome, i am juliette. this is bloomberg best. global politics dominated a big part of the week. starting with france's electi on sunday. >> the polls are now closed in france. a emmanuelke we have macron win. we think of it is likely a 65% vote or something around that number for mr. mccrone. -- emmanuel macron. >> i am watching european flags make way. how long will be before i can buy a eurobond? he is the president. it is one of the cornerstones of his program. give europe its own budget. it is a step in the right dictn for europe. >> manuel valls crone fish about tomacron has the -- >> don't boo them, they have expressed their anger, the disarray, there believes and i respect those as well. i will do everything i can in the next five years to see that these people no longer have any reason to vote for extreme idea

but espn's cord cutters drag down disney's overall results? we'll tell you what to expect.e warriors eliminated the utah jazz. in the the hockey playoffs, the washington capitol dominates the penguins forcing game seven in a series you will have all the highlights. lauren: 5:31 a.m. in new york. welcome to "fbn:am," your first look at morning markets and breaking news. nicole: president trump criticizing elliott's testimony saying sally yates had basically extremely unhappy today. and a congressional hearing coming at talked about her attempt to monitor white house a former national security adviser michael flynn after he missed the talk officials about us contact with russia's ambassador. >> not only do we believe the russians knew this but they likely had proof of this information. that created a compromise situation. the situation where the national security adviser essentially could be blackmailed by the russians. true international college instructor james clapper said he was not aware of any evidence demonstrating collusion between the trump campaign in russia. >> the

is that it gets soft created, the bad music it becomes espn. the political teeth get extracted. that is what the book is about. it tries to reclaim that history and learn about the fire underneath the icons. the history that we know, the history we are not told. for example, it is well-known that jack johnson was the first black heavyweight champion in the world in 1908. do we know when he defended the title, his defeat started the greatest race riots this country had ever seen and would see until the 1968 king assassination. the character of these rides were white mobs. -- these riots were white mobs. they were attempting to enter black neighborhoods and black communities defending themselves by force after a boxing match, this occurred in 1910. to continue that, booker t. washington who was outraged went to johnson and demanded that he condemn people for rioting. johnson responded that you can kiss my black ass. we also know that baseball was segregated for 50 years until 1947. do we know the story of lester rodney? lester rodney used the spo

not just that they went to espn and they went to espn and read this or that article. >> right. my understanding is that we can't with an nsl, we understand the statute, get that sub-content. we could get the web page visited but where they navigated within the website. that is -- i may be wrong about that, but i think that is how we are. >> within the existing confines of the law. >> correct. >> so those opposing that we change existing law to use a national security letter to go further as was suggested by one of my colleagues earlier today, that then would allow you to get this more granular information. >> no, i'm sorry. i may have screwed this up. as he understand the way hector was int -- intended to be used, it is limited to the top level website visit address. >> correct. >> so even if it changed the way we hope it will be, we don't get any deeper into what you looked at on a page. it is as if we were able to see what sporting goods store you called, we can't tell from the call record what you asked about. we could see what sporting pages visited, but can't see where you

. >>> chip kelly has a new job, espn announced kelly signed a multi year deal. he is in their new in studio analyst covering college football broadcasts, kelly has 30 years experience at multiple levels, espn says he will appear on sports certainty friday and saturday offering insight on college and nfl games. >> interesting. >>> that is "eyewitness news" this noon i'm jim donovan. >>> i'm rahel solomon. for all of us here thanks for watching. >> "eyewitness news" continues at 5:00 tonight and we are always on line, cbs philly.com >> that is the case. >> enjoy your weekend, everyone, we have got ice cream waiting for us downstairs, young and restless is next. see you next week. >> victor: hello, scott. >> scott: victor. good morning. >> victor: and to you. >> scott: it's beautiful, isn't it? >> victor: it is beautiful, indeed. >> scott: perfect location to host a nicole newman research center opening reception. i hear the acoustics in the chancellor park pavilion are great. so, cocktail reception in this area, then followed by the performance in the pavilion, wh

earnings at disney hurt by the unit they used to boost profits, espn. bloomberg he is not worried. bob iger: we feel optimistic about it. the reaction suggests otherwise, that is not the case and we have taken a number of steps. this is not something we are just getting too, something we have been working on. it is high time people look at espn in all positive way and not a negative way. think about how mobile devices are being used. taylor: overthrow earnings at disney better than expected thanks to theme parks and movies. tom: excuse me, guy. i am sorry. i am sorry. guy: you jumped in. tom and i am fired up for wendy carlin. guy: some suggested she should be on npr. daybreak is coming up. we have ferro. david, a great interview. will out the highlights. david: the highlight is espn. years, said it will slow down and they continue to lose subscribers. he is trying to bring in a with digital as fast as he can. the question is, how fast? and movies and theme parks including shanghai. the other thing we will talk about on the program despite -- besides di

from box office biggies like eating the beast the company missed on revenue the cousin of trouble at espn. that was clouding success after the fourth unit cut over the 100 on their employees and subscription is on the decline at espn. all of that sent stocks lower for the week and retail macy's one of the big stories on the downside. joining me a group of high-powered advisers try to just research partner and ceo -- where are we in terms of the rally that we saw after the election and putting money to work right now jason? how would you characterize the market for the investor out there watching? >> it is quite strong. one of the things that has been missed about people who write about the markets is this isn't even solely or in part by the trump agenda which in my view is good because there's more room in the trump agenda gets passed. it's driven much more bike earnings and earnings for the first quarter look like they should be up somewhere between 14 or 15% even if you take energy out of that they would be up double digits in some ways that's the greatest story ever told. you have earn

no one has more of it than espn. snap down more than 20% in after-hours trading.it, revenue, user growt all these numbers missed analyst estimates. which metric is most disappointing? >> i think the user growth is the main thing people are looking at because now does not have -- snap does not have a stable business. this is a very young company. you want to be able to see there's a future. the future is in the growth. the future is and how many people they can add that they can later make money off of. the growth rate is just not what investors were hoping for from this young, hot company that is incredibly popular among young people. >> you take the risk of buying an ipo, you expect one or two quarters where they will do a good job relative to expectations. the first quarter, they missed on everything. there is not much toikin the story at all. >> softbank gaining at the tokyo open after full-your profits beat analyst estimates. tell us what drove these results. >> it has been a good fiscal year for softbank. they reported a record ¥1.4 trillion in net income for

espn analyst, right? >> looked great. well-dressed, but that means you are shy if you put hands in your pocket. >> oh? >> let's help we have bounce in our step with the warriors and giants there. there's always a sports angle, and weather okay? >> 6:00. >> no showers? >> you'll be fine. >> all right. have a good one. bye bye! a lower a1c is a lot witabout choices.tes but it can be hard sometimes, 'cause different sides of you struggle with which ones to make. well, what if you kept making good ones? then? you could love your numbers. discover once-daily invokana®, a pill used along with diet and exercise to significantly lower blood sugar in adults with type 2 diabetes. it's proven to lower a1c better than januvia®. invokana® works around the clock by sending some sugar out of your body through the process of urination. it's not for lowering systolic blood pressure or weight loss, but it may help with both. invokana® may cause dehydration, which could make you feel dizzy or weak when you stand up, so be sure to drink enou

in a statement- espn's president called the accident a devastating tragedy...as berman's colleagues are expressing their condolances this morning. the bermans had been married for 33 years. if you haven't had to replace a tire on your car in a while... get ready for some sticker shock. prices have been soaring. consumer reporter john matarese looks into the reason.... and what you can do... so you don't waste your money. 0-12 112-125 a big announcement about our abc-7 family - and a bittersweet one for us. family - and a bittersweet one for us. meteorologist doug hill will be retiring in september. he's still with us until then- so share your gratitude, and your stories about him using the hash tag: thanks doug. time now for weather - have the umbrella - waves of rain through saturday - unseasonably cool next 3 days (50s) - drier & warmer for mother's day - 80s make a comeback next week! today: mostly cloudy. scattered showers. cool. highs: winds: e 5-10 mph tonight: mostly cloudy. isolated showers. lows: winds: e 5 am showers, pm rain. highs: winds: e 5-10 mph

did espn do something different to their mugshot?ng why tiger looks much different in their version, we'll do a side by side so you can see the difference. >> hi, it is exactly 7:31 here, knew. >> 7:31 means we check for fog, yes, still out there. it means we check bus stop buddy. and he's still got the umbrella because we may get some showers later on, just got a lot of moisture in the air, that cloud on the ground, 2 miles visibility at philadelphia international airport, and plenty of other places with fog, also, been watching this area every rain, to the north and west every us, starting to edge into berks county, just southeast of pottsville, there, but it looks like it is dissipating so we may not get that rain this morning. but it is still cloudy, and it is 62 degrees, in philadelphia. we're looking ahead to some sunshine, for today, won't that be nice? but scattered thunderstorms with a cold front, later on this evening, if you're outside, maybe your kid has a little league game, or softball game. then just keep an eye on the